This special issue examines the pivotal role of finance in driving the development of new energy sources, drawing on research from China, the US, Europe, and beyond. The collection comprises eight cutting-edge papers that examine the dynamic interplay between finance and the new energy sector, with topics ranging from risk spillovers and the predictability of clean energy stock returns to ESG lending, digital finance, and carbon markets. Key findings highlight the ability of financial innovation to drive renewable energy investment, promote banking stability, and reduce carbon emissions at both corporate and household levels. The studies also identify challenges—such as the inhibiting effect of retail investor sentiment on green investment intentions and the rising cost of equity for high-carbon firms following the implementation of emission trading schemes. Together, these insights provide a roadmap for policymakers, financial institutions, and businesses seeking to harness finance as a catalyst for sustainable energy transitions.